Two leading telecom operators, Ufone and Zong, have deposited $15 million each as mandatory pre-bid earnest money with the Pakistan Telecommunication Authority (PTA) ahead of the country’s much-anticipated 5G spectrum auction scheduled for March 10, industry sources said.
The combined $30 million deposit comes ahead of the February 27 deadline for submission of earnest money. Market sources expect Jazz to submit its $15 million deposit shortly, as it is unlikely to stay out of the high-stakes auction.
Under PTA’s Information Memorandum, each prospective bidder must deposit $15 million to qualify for participation. The amount will be adjustable against the final licence fee for successful bidders.
The government is targeting proceeds of over $634 million from the auction of 597 MHz spectrum, depending on competition and price discovery during the bidding process.
According to the auction framework, the sale will be considered successful if at least 50 percent — around 300 MHz — of the total spectrum on offer is sold. Officials noted that participation by three operators would likely ensure that the minimum success threshold is met.
PTA officials believe robust competition among at least three cellular mobile operators will not only strengthen investor confidence but also accelerate Pakistan’s transition to next-generation mobile services.
The March 10 auction is being closely tracked by policymakers and investors, as it is expected to pave the way for ultra-fast broadband, low-latency applications and enterprise-grade digital solutions — marking a pivotal step in the country’s digital transformation drive.
